Compare the top 8 expense management software and tools in Australia 2024

Technology is changing faster than businesses can adapt. The way we work changes by the day due to rolling and rapid innovations, and the expense management space is no different.

Using spreadsheets for business spend management can be inefficient for growing businesses, as it requires manual data entry and analysis. Imagine how much more you could be achieving if you automated your expenses. 

In this article, we’ll cover how to choose a business expense management software and the features to look out for. We’ll also take you through the best expense management software in Australia and why Airwallex might be a good fit for your business.

What are expense management software and tools?

Expense management software and tools provide a comprehensive solution to streamline the process of tracking, reporting, and reimbursing employee-initiated expenses. These powerful expense management solutions automate workflows, enforce spending policies, and provide real-time visibility into company spending, empowering businesses to make informed financial decisions.

According to our Simplifying Global Spend Report, 28% of companies reported ineffective software is one of the biggest spend management challenges. As companies continue to grow, it is important that they tackle this problem by finding the best expense management software. 

How does expense management software work?

Expense management systems work by providing a centralised platform for tracking and managing business expenses. They typically involve mobile apps and web applications to automate and streamline the entire expense process, from submission to reimbursement. 

1. Employee submits the expense report

2. Assigned approvers receive and review the expense report

3. Expense gets paid or reimbursed

4. Accounting reconciliation

5. Review expense reports in real-time

Expense management systems often integrate with accounting software, making it easier for businesses to reconcile their accounts and comply with tax regulations.

The top 8 expense management software platforms in 2024

• Airwallex: Airwallex is a global financial platform with a leading expense management solution designed specifically for businesses with a global presence.

• Expensify: Expensify automates the receipt scanning process, making it easy for employees to submit expenses on the go

• SAP Concur: Established in the US, this is a service company offering travel, expense and invoice management in one platform. 

• MYOB: MYOB is an accounting software made for small businesses to manage expenses on their own. 

• Quickbooks: Quickbooks offers a platform for accounting functions including a mobile app for easy receipt scanning.

• Xero: Xero offers a simple accounting software popular among startups and small businesses.

• Volopay: Volopay offers a financial platform for businesses within the APAC region.

• Zoho Expense: Part of the Zoho suite of business tools, Zoho Expense offers a flexible and customisable expense management solution.

Top features to look for in expense management software 

It can feel overwhelming when you start comparing expense management software. To help, we’ve compiled a list of the most important features to look out for: 

• Physical and virtual cards: Expense management providers often allow businesses to issue physical and viritual cards in the name of employees or the company. Cards can draw from company funds with pre-set limits and doesn't leave the employee out of pocket.

• Mobile receipt capture and OCR scanning: Look for solutions that offer easy receipt capture through mobile apps, allowing employees to snap photos of receipts on the go. OCR technology automatically extracts relevant data from receipts, reducing manual data entry and errors. 

• Customisable approval workflows and spend policies: Choose a solution that allows you to create custom approval workflows based on your organisation’s unique needs. The ability to set spending limits, define approval hierarchies, and automate policy enforcement ensures that all expenses align with company guidelines.

• Real-time spend categorisation, tracking and reporting: Real-time visibility into company spending is crucial for making informed financial decisions. Look for platforms that offer interactive dashboards and customisable reports, enabling you to monitor expenses by category, department, project, or employee. Real-time alerts and notifications help you stay on top of potential policy violations or unusual spending patterns.

• Multi-currency support for global expenses: Multi-currency support is a must-have feature for businesses with international operations or employees travelling abroad. Look for solutions that automatically convert costs incurred in foreign currencies, apply up-to-date exchange rates, and handle VAT (Value Added Tax)/GST (Goods and Services Tax) compliance requirements.

8 best expense management solutions

How can you save time and money with an expense management tool? 

Implementing an expense management tool can help businesses reduce costs and optimise their spending in several ways:

• Eliminate manual processing: By automating expense submission, approval, and reimbursement processes, expense management tools significantly reduce the time and resources required to manage expenses manually. This eliminates the need for paper-based processes, data entry, and manual reconciliation, saving staff time and reducing associated labour costs.

• Enforce spend policies: Expense management tools allow businesses to set up custom spend policies and automate policy enforcement. By defining clear rules around expense categories, approval limits, and reimbursement guidelines, businesses can proactively control spending and reduce the risk of fraud or policy violations. Real-time alerts and notifications help catch potential issues early, preventing costly mistakes.

• Negotiate better rates: With detailed, real-time expense data at their fingertips, finance teams can easily identify spending patterns and areas for potential savings. This visibility enables them to negotiate better rates with suppliers, vendors, or travel providers based on their company’s specific spend profile and volume. Businesses can secure discounts and preferential rates by consolidating spending and leveraging their purchasing power.

• Streamline reconciliation: Expense management tools that integrate seamlessly with corporate card programs and accounting software automate the reconciliation process. This eliminates the need for manually matching expenses with card statements or bank transactions, saving significant time and reducing the risk of errors. Automated reconciliation also enables faster month-end close processes and more accurate financial reporting.

• Optimise cash flow: By providing real-time visibility into company spending, expense management tools help businesses make informed decisions about budgeting, forecasting, and cash flow management. Finance teams can easily track accrued expenses, monitor departmental budgets, and identify opportunities to optimise working capital. This proactive approach to spend management helps businesses allocate resources more effectively and avoid cash flow bottlenecks.

• Reduce fraud and compliance risks: Expense management tools that enforce spend policies, provide audit trails, and offer robust security features help businesses mitigate the risk of fraud and ensure compliance with regulatory requirements. By automating policy checks, flagging suspicious transactions, and maintaining detailed records, these tools reduce the likelihood of financial losses due to fraudulent activities or non-compliance penalties.

• By leveraging these cost-saving benefits of expense management tools, businesses can significantly reduce their overall expense processing costs, optimise their spending, and drive bottom-line profitability. As companies grow and their expenses become more complex, investing in a robust expense management solution becomes increasingly critical for long-term financial success.

What questions should you ask when onboarding an expense management solution? 

To help you decide which expense management tools work best for your business, you may consider these questions: 

1. What are the platform’s strongest features, and do these features support my business’s needs?

2. How well can it handle foreign currency expenses and payments?

3. What integrations do they support? 

4. Can they support other financial services? 

5. What is their pricing model?

6. What level of customer support is available, especially during onboarding?

7.  How to implement expense management software?

Why manage your business expenses with Airwallex? 

If you need a better and faster way to track your business’s expenses, switch to a spend management software. It automates manual data entry, reduces errors, and provides real-time visibility into spending. Not only do you save man hours; you’ll also get more certainty about where your funds are going.

Airwallex is an excellent choice because it offers comprehensive spend management solutions for growing global companies. Its advanced integration with platforms like Xero, Netsuite, and SAP, combined with features like multi-level approval flows, budget controls, and unlimited Borderless Cards, make it a robust tool for managing expenses. Additionally, Airwallex’s global reach lets your business manage payouts effectively, no matter where your operations are located.

Create an Airwallex account and stay in control of your expenses today.

Sources

1. https://veridion.com/blog-posts/spend-management-statistics/

2. https://use.expensify.com/expense-reports

3. https://www.expensify.com/pricing

4. https://www.concur.com.au/get-quote-form

5. https://www.myob.com/au/pricing

6. https://www.myob.com/au/products/myob-business/lite

7. https://quickbooks.intuit.com/au/pricing/

8. https://www.xero.com/au/pricing-plans/ 

9. https://www.volopay.com/au/pricing/

10. https://www.zoho.com/au/expense/

Disclaimer:The information in this article is based on our own online research. Airwallex was not able to manually test each tool or provider. The information is provided for educational purposes only and a reader should consider the specific requirements of their business when evaluating providers. This research is reviewed annually. If you would like to request an update, feel free to contact us at [[email protected]]. This information doesn’t take into account your objectives, financial situation, or needs. If you are a customer of Airwallex Pty Ltd (AFSL No. 487221) read the Product Disclosure Statement (PDS) for the Direct Services available here.